China's first state-owned satellite company opened for business in Beijing on Saturday. Aerospace Dongfanghong（DFH）Satellite will mass produce small satellites. A DFH spokesman prdicted an annual production capacity of six satellites in the short run, and more than 10 in later years,according to latest issue of Beijing Today.

The Chinese Academy of Space Technology has previously produced nine small satellites. The successful launches have given China an edge in small satellite research.

Investment partner China Aerospace Science and Technology Corporation chairman Xue Fuxiang said China's aeospace flights had previously depended on the government to develop space technology, restricted due to lack of investment from the state and bars on private capital. But now China's aerospace development no longer dpends on the government.

It marks a good beginning for China's aerospace technology toward industrialization, wrote Wu Bangguo, Vice-Premier of the State Council, in a congratulation letter.

(People's Daily 08/29/2001)